Ethereum
Vitalik Buterin defends recent ETH sales, says they’re for projects and charity
- Vitalik Buterin clarifies ETH sales were for projects and charity, not profit.
- He held 325K ETH three years ago but now holds 240K ETH.
- Buterin has also defended Ethereum’s support for DeFi amid criticisms from some in the space.
Ethereum co-founder Vitalik Buterin has come out to address allegations surrounding his sales of Ether (ETH), clarifying that these transactions were not driven by personal profit but by a commitment to support Web3 projects and charitable initiatives.
According to a recent post by on-chain analytics firm Lookonchain, Buterin has reduced his ETH holdings by 85K ETH ($209M) in 3 years.
3 years ago, @VitalikButerin mentioned he held 325K $ETH($1.46B at the time), when the price of $ETH was $4,500.
Now he holds 240K $ETH($592M).
He has reduced his holdings by 85K $ETH($209M) in 3 years. pic.twitter.com/LG2bZcvd4A
— Lookonchain (@lookonchain) August 30, 2024
The most recent is the transfer of 800 ETH worth over $2 million to a multi-sig wallet. Lookonchain highlighted that the same wallet address had received 3,000 ETH from Buterin on August 9, fueling concerns about the motives behind Buterin’s sales.
vitalik.eth(@VitalikButerin) transferred 800 $ETH($2.01M) to a multisig wallet again 40 minutes ago.
The multisig wallet swapped 190 $ETH for 477K $USDC later.
On Aug 9, #Vitalik also transferred 3,000 $ETH($8.04M) to this multisig wallet.https://t.co/81Vf39bvbL pic.twitter.com/6IlwtcqvPg
— Lookonchain (@lookonchain) August 30, 2024
Vitalik Buterin denies selling ETH for profit
In response, Buterin firmly denied any allegations of selling ETH for personal profit. He clarified that he has not sold any Ether for personal financial gain since 2018. Instead, he explained that his ETH sales were intended to support various Web3 projects and philanthropic endeavours.
I haven’t sold and kept the proceeds since 2018. All sales have been to support various projects that I think are valuable, either within the ethereum ecosystem or broader charity (eg. biomedical R&D)
— vitalik.eth (@VitalikButerin) August 31, 2024
Buterin’s statement aims to underscore his longstanding commitment to using his resources for the advancement of important causes rather than personal enrichment.
Supporting Ethereum and DeFi
Buterin’s statements also touch upon his stance regarding decentralized finance (DeFi) and the broader Ethereum ecosystem. He has come under fire for Ethereum allegedly not sufficiently supporting DeFi.
Kain Warwick, the inventor behind the concept of yield farming, and MilliΞ a crypto philosopher criticized Buterin for his perceived lack of emphasis on DeFi.
However, Buterin defended Ethereum’s role in DeFi and his position stating that he thinks “DEXes are great, and I use them every week.”
The kinds of applications that I want to see are applications that are (i) useful in a sustainable way, and (ii) don’t sacrifice on the principles (permissionlessness, decentralization, etc)
I think DEXes are great, and I use them every week.
I think decentralized stablecoins…
— vitalik.eth (@VitalikButerin) August 25, 2024
Buterin’s defence reflects his commitment to ensuring that Ethereum continues to support meaningful and sustainable developments within the blockchain space. He has consistently advocated for the importance of long-term value over temporary gains, reinforcing his position that the Ethereum network should remain focused on foundational principles rather than transient trends.
By addressing these allegations and defending Ethereum’s role in DeFi, Buterin reaffirms his commitment to the broader vision of a decentralized and impactful digital future.
Ethereum
Is This The End For Ethereum Or A Generational Opportunity?
Ethereum holders are definitely being tested by some tough times, with recent price action failing to create a bullish perspective for the digital asset. One of the major disappointments has been the performance of spot Ethereum exchange-traded funds (ETFs), which were launched in the U.S. with great fanfare. These ETFs were seen by numerous market participants as the key that could unlock significant upward movement for Ethereum. Since their introduction, they have not delivered the expected results, leaving investors frustrated.
Matt Hougan, Chief Investment Officer of Bitwise, a popular crypto index fund manager, continues to maintain a positive ETH outlook. According to him, Ethereum is still at the forefront of blockchain applications that are seeing breakthrough success.
This Is Not The End For Ethereum
The lack of positive momentum in the Ethereum market has been enough to shake the confidence of seasoned investors. The combination of uncertain macroeconomic factors, rising competition from Solana and other blockchains, and the unmet expectations surrounding the Ethereum ETFs has contributed to the pessimistic outlook for the digital asset.
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Among the optimists is Matt Hougan, who shared his views in a recent memo. Hougan has maintained a bullish outlook on Ethereum, standing firm in his belief that the current challenges are only temporary and that the asset still has the potential to rebound. Hougan argues that although Ethereum has fallen behind Bitcoin and Solana’s year-to-date growth of 38% and 31%, respectively, the cryptocurrency’s long-term prospects remain strong.
In his memo, Hougan highlighted ETH’s continued dominance as the leading blockchain for decentralized applications (dApps), stating that it retains the lion’s share of activity among developers building on blockchain technology. He went as far as to liken Ethereum to the “Microsoft of blockchains.”
To support his claim, Hougan pointed to notable examples of Ethereum’s adoption by major companies. One such example is BlackRock’s tokenized money market fund, which launched in March 2024 and now has more than $500 million in assets under management. Another example is Nike’s Web3 gear platform called .Swoosh.
Ethereum has the most active developers and users. As such, Hougan believes the blockchain will be first on the radar of the next large traditional company wanting to do a blockchain product.
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What’s Next For ETH?
According to Hougan, Ethereum is a contrarian bet for the rest of the year. What this basically means is that he expects Ethereum to go against the ongoing market sentiment and surprise many investors with a bullish run by the end of the year.
At the time of writing, ETH is trading at $2,440 and is up by 5.2% in the past 24 hours. This recent uptick brings Ethereum close to testing a key resistance level at $2,450 once again.
Featured image created with Dall.E, chart from Tradingview.com
Ethereum
Bitcoin’s price jumps to a three-week high
- Bitcoin’s price has surged 5.6%, hitting a three-week high of $61.1K on Tuesday morning
- Altcoins like Celestia, Immutable X, and Near have seen double-digit percentage gains
- Crypto stocks rose modestly ahead of the Fed’s expected rate cut announcement
Bitcoin’s price has surged to its highest level in three weeks, triggering gains across the cryptocurrency sector and related stocks.
It soared 5.6%, reaching $61.1K before returning to around $61k.
The surge marks a sharp reversal from the quiet start to the week, signalling renewed interest in digital assets.
Altcoins and Bitcoin price soaring ahead of Fed cuts
Besides Bitcoin, other major cryptocurrencies have also seen significant gains, with Ethereum (ETH) advancing 4.2% to $2.38K.
Notably, some altcoins have outpaced the larger tokens. For example, Celestia (TIA) has seen a 15.7% increase, Immutable X (IMX) has risen by 14.8%, Near Protocol (NEAR) is up 9%, Uniswap (UNI) has climbed 8.9%, and Sui (SUI) has gained 8.1%.
The rally comes just ahead of the Federal Reserve’s highly anticipated decision on interest rates.
Market analysts widely expect the central bank to lower rates for the first time in four years. With inflation largely under control and the labour market showing signs of cooling, many believe the Fed will adopt a more accommodative stance.
Lower interest rates are typically bullish for cryptocurrencies, as reduced borrowing costs make traditional savings and investment vehicles less attractive. As a result, investors often turn to riskier assets like cryptocurrencies in search of higher returns.
Crypto-focused stocks also surge
Crypto-focused stocks have also benefited from Bitcoin’s rally, though their gains were generally more modest compared to digital tokens.
MicroStrategy (MSTR), a company known for holding large reserves of Bitcoin, inched up by 0.6%.
Crypto exchange platform Coinbase Global (COIN) has risen by 3%, while crypto investment firm Galaxy Digital (OTCPK) has gained 5.4%.
In the crypto mining sector, Riot Platforms (RIOT) has advanced 2.4%, MARA Holdings (MARA) has risen by 1.9%, and HIVE Digital Technologies (HIVE) has climbed 4.3%. Bit Digital (BTBT) saw the largest jump, gaining 13%, followed by Hut 8 (HUT) with a 6.6% rise, and CleanSpark (CLSK) up 3.1%.
As the broader stock market also experience buying pressure ahead of the Federal Reserve’s pivotal decision, the crypto sector continues to ride the wave of optimism surrounding the potential for lower rates and increased investment in digital assets.
Ethereum
Bitcoin targets $63k as crypto market awakens after Fed rate cut
- Bitcoin has broken past $62K post-Fed rate cut; next resistance at $63K
- Ethereum and Solana have also surged, reflecting a broader crypto market rally
- Caution remains due to economic uncertainties and potential regulatory issues
Bitcoin’s (BTC) price has surged past $62,000 following the US Federal Reserve’s decision to cut interest rates by 50 basis points.
The move by the Fed, aimed at bolstering economic growth and mitigating recession risks, has ignited a rally across digital assets. The monetary policy adjustment not only energized Bitcoin but also lifted a broad range of altcoins and risk assets.
The next Bitcoin price resistance level at $63k
Currently trading around $62,096, Bitcoin’s price has demonstrated a solid 24-hour gain of 2.29% and a more impressive 7-day increase of 6.20%.
Most notably, the price breach above the $62,000 mark represents a crucial psychological milestone for Bitcoin, following a period of consolidation near $60,000.
Technical analysis highlights that Bitcoin’s next significant resistance level is positioned at $63,000, with the potential for further gains if this barrier is surpassed. The upper boundary of Bitcoin’s Bollinger Bands indicates heightened volatility, suggesting that while a short-term profit taking phase may occur, the overall trend remains strongly bullish.
Support is firmly established at around $60,100, acting as a critical floor that has been repeatedly tested and held firm.
Investor sentiment towards Bitcoin is largely positive, with increased trading volumes reflecting growing institutional interest.
As Bitcoin’s price continues to climb, it benefits from a broader narrative of cryptocurrencies serving as a hedge against traditional market volatility and inflation fears, which have been exacerbated by the Fed’s dovish stance.
Ethereum and Solana lead as altcoins mirror Bitcoin’s surge
The rate cut by the US Federal Reserve not only impacted Bitcoin’s price but has also spurred a broader rally in the cryptocurrency market, lifting major altcoins alongside Bitcoin.
Ethereum (ETH), for instance, has surged past $2,400, marking a 24-hour increase of 4.94% and a 7-day rise of 2.97%. Ethereum’s price reached $2,430 before settling slightly, mirroring Bitcoin’s bullish trend. Technical indicators show Ethereum facing immediate resistance at $2,430, with potential for further gains if it breaks above this level.
Solana (SOL) has also seen significant price movements, surging by 6.03% to reach $138.65. This gain underscores renewed confidence in Solana’s ecosystem and its applications in decentralized finance (DeFi) and non-fungible tokens (NFTs).
Other altcoins, such as Ripple (XRP) and Shiba Inu (SHIB), have also experienced notable increases, with XRP rising by 1.20% to $0.59 and SHIB climbing 7.85% to $0.00001427.
Analysts remain cautious
Despite the overall positive sentiment, market participants remain cautious. Mixed reactions and concerns about the sustainability of the rally are prevalent. Analysts suggest that while the rate cut has provided a significant short-term boost, the broader economic uncertainties and potential regulatory challenges could impact future performance.
In particular, Presto Research notes that the market remains divided, highlighting the need for relief from growth concerns to maintain upward momentum.
Amid the mixed market outlook, the coming months will be critical in determining whether the current Bitcoin (BTC) price rally can sustain momentum and push digital assets to new highs.
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